Long Term BGMI and Gold Chart Update
Hi Folks, I haven’t updated these long term charts in a while and now seems as good a time as any.
This is a look at the miners over the last 80 years or so in a monthly line chart. It is my proposal that they have essentially been in a consolidation since the 1980 peak after a 20 year 3700% bull. Looks like a monthly close over 2008 low and the 2016 high would get the BGMI over the blue channel midline and the major black channel quarter line constituting a break out.
If the miners BO one would assume continued Gold strength as the miners have largely ignored the move in Gold so far. Two targets seem appropriate….the ATH and the rail off the 1980 peak to 2011 peak which is in the $2400 range. Truthfully, my biggest fear is we are about to put in a 3rd point in larger consolidation such as a rectangle or triangle…think S&P 2007… NOBODY is considering this. I’ll be very cautious if Miners end up backtesting the head shoulder breakdown region and Gold is in the 1900 region…or if miners make a new high while Gold doesn’t. I know that doesn’t jive with the chart above but I’m just putting it out there. Nothing is impossible in this current environment imo…and remember traditionally Gold bulls occur during major market consolidations. Just something I’m keeping aware of when/if the time comes.
https://www.tradingview.com/x/rMseGHej/
This last chart is the baby of the previous two. It is highlighting the generational blowoff low the ratio put in in 2016. The 2016 high backtested the previous 1942 low and then continued to fill out in the wedge…giving a pretty flag appearance which failed. It now looks like ABC hopeful wave 2 low. The ratio looks primed for outperformance over the metals. These are big ship charts and they take time to fill out and most of the time things take way longer than we think.
Also, in case anyone wanted a longterm look at Silver. Cheers
Thought provoking charts Schism. Thank you.
Thanks for checking out NS.
Very nice charts, Thank you!
Appreciate that, ty
Thanks Schism – I love long-term charts – there is always hope and danger combined!
Hey Patty, hope all is well. Agree! and I love to know the edges of that instruments universe.
Classic Schism Charts
One of a kind
Thanks for bringing them here Sir Schiz
Fascinating
Thanks for the kind words Fully
Beautiful. Thanks.
Thanks Chuck…lets see how shakes out
For these grand super longterm chart felt like a drought.
When it rains it pours.!!!
Thanks I needed to see BGMI/Gold and Gold/silver (missing). Agree miner to gold hit 55 years low in 2016.
GSR or SGR is the key to miners trend indicator. SGR hit 300 years low.
PM sector real broad base bull market will not begin til all these two ratio rising in lockstep.
Thanks .
Thanks Bikoo, TBH I remain nervous for GSR into 2023. I remain open minded.
https://www.tradingview.com/x/epLvJA3x/
YUP Thanks.